Plano, Texas-based Finance of America, a vertically-integrated mortgage lender, has failed to sell its retail mortgage division and has announced its intention to exit the residential and wholesale mortgage business.
The closure will occur sometime between November 1, 2022, and April 3, 2023, and will impact 101 employees located in Conshohocken, Pennsylvania. Employees at other locations are also at risk. Home improvement lending will not be affected. It is estimated that 20% or about 1,100 employees are at risk.
A company spokesperson noted, the company plans to execute a “resource optimization plan,” to focus on its reverse mortgage and commercial mortgage originations segments, as well as continuing its lender services and portfolio management segments.
"The move will accelerate the company’s ability to partner with large mortgage lenders and other financial services companies to offer FoA’s SF&S (specialty finance and services) solutions on their platforms.”
"The decision “was made with careful consideration, and we understand the impact this action will have on many of our employees and their families. We are providing support and resources to assist our departing employees in their search for employment opportunities and are actively working to facilitate the transition of many of these employees to roles at other mortgage lenders. The impacted employees have long been valued members of our team, and we recognize the many contributions they have made to the company.”
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?